Workers' compensation liability insurance applies to employees injured in the course and scope of their work. 'Employee' may be defined broadly as including:
- Full- and part-time workers whose annual earnings are reported by IRS W-2 form.
- Casual or contracted workers who work exclusively for the organization.
Tip: 'Employee' may be defined broadly, especially in church circles. Consider all those for whom you would intend to provide benefits in the event of injury on the job...and report their remunerations.
Premiums are based on the employer's total annual remuneration to groups of employees in various classifications. Although the exact classifications and their names vary from state to state, the broad categories most commonly applicable to religious institutions include:
- Clerical/Office employees (secretaries, administrators)
- Church Professional employees (clergy, program directors, etc.)
- Church Other employees (sexton and other maintenance staff)
Some church organizations also have Cemetery and/or School classifications.